Business Cultures Which Foster and Impede Product Development Research Paper

Business Cultures Which Foster and Impede Product Development - Research Paper Example New product development takes time and it is also quite risky and costly. The failure rate of new products is really high in the market. This happens due to several factors but the most common factor is lack of market research. The marketers should do a proper market research for their product. If they are successful then, after developing the product, another product research is also necessary. This will not only give a true picture to the market, but also save them from incurring huge losses before developing the idea or concept (Saxena, 2009, p. 266-268). The reason behind developing new products for the company is known and generally discussed aspect in business environment, but the significance of business culture in product development is a rarely discussed issue. However, organization culture plays a very important role in generation of innovative ideas, product designing or developing a whole new product. Ricks (2006), in his book â€Å"Blunders in International Business,â⠂¬  suggested that â€Å"The failure to understand cultural differences can bear serious consequences.† This means that culture of the company determines how it functions and this directly affects innovation and development of new product in the company or business. Objective of the Study In the highly competitive market it is very important to develop innovative new products and services for getting good responses from the customers. So the objective of this study is to analyze the different facets of business culture which promote and obstruct the development of new products. This would assist in understanding the right culture that organizations should maintain to integrate innovation as the permanent ingredients in the strategic framework of the organization. Outline of the Study The study was designed to evaluate the admittance and barriers of business culture in case of new product development. So the study initiated with a background study on product, development of n ew products in organization and the importance of such on the profitability of the organization. Then the objective for conducting the research study was ascertained. Next, the study moves on to the discussion of the past literature available, which supports the objective of the study and the argument. So it would focus on topics like organizational culture, contribution of culture in innovation, Encouraging pioneering culture for the development of new products, role of workforce diversity, and a case study which includes the real life example of innovative culture of a company, due to which it is a market leader and a developer of numerous innovative products, called 3M. After this the implications of the product managers in the organization would be also scrutinized and the study would be concluded by analyzing the different aspects included in the study to derive results. LITERATURE REVIEW Business or Organizational Culture The term management means getting things properly done with the help of other people. This theory is considered true all over the world. For achieving this mission, the management of the organizatio